SecurityWise: Parcel Fraud and Theft

31 May 2024

The world of parcel deliveries has been on an interesting journey since the whirlwind that was Covid-19. With everyone going click-crazy shopping online, couriers found themselves drowning in packages, juggling limited space, high service levels, and soaring operating expenses. As a result, many were forced into expanding, upgrading, adjusting prices, and adding new services.

Due to the social distancing aspects during Covid-19, if no safe place was available or a signature was required, the couriers didn’t ask recipients to sign using a handheld device. Some couriers would knock on the door and step back; when the recipient answered, the courier then took a photo of the parcel in the open doorway as proof of delivery. However, some couriers were not using this approach and simply leaving items on doorsteps, porches, or doorway areas which resulted in increased risks of package thefts.

One significant challenge encountered both during the pandemic and has continued since by the parcel industry is the rise in parcel fraud and theft. This can manifest in different ways, including porch piracy, package pilfering, robberies, and social engineering. Among these, porch piracy and social engineering are the most prevalent concerns in the last year.

Porch piracy

Porch piracy pertains to the act of stealing parcels and packages from customers' doorsteps or designated mailboxes, often achieved by criminals trailing delivery vehicles or monitoring tracking numbers.

• To mitigate the risks associated with porch piracy and minimise shipping expenses, consider directing deliveries to carrier facilities that offer package storage for convenient recipient pickup.
• Disguise the item and don’t give the game away. Use the largest envelope or packaging as it makes it more difficult for thieves to pilfer and conceal. It may seem obvious, but never reveal the contents of your package on the outer label. Anywhere on the packaging referring to the contents will make it an easy target for thieves.
• If customers have a front door that opens on to the street, carriers with a single-delivery policy might leave the parcel on your doorstep that they believe is in a “perceived safe space”. Due to carriers having different doorstep policies, online shoppers could be advised to opt for “named-day” delivery services, or consider collecting their package, in the wake of a surge in porch parcel thefts. The more expensive a parcel, the more likely it is that the courier will make more than one attempt at delivery, or it will be handed over for a signature.
• Always request a signature upon delivery and another option is “photo-on-delivery” which provides another level of reassurance for you and your customers that item(s) has arrived safely. Potentially, this adds greater confidence to the buying process and delivering a better customer experience to help you boost customer loyalty. Improved tracking visibility can go a long way in reducing “where is my item” enquiries and denial of receipt claims.

Social Engineering Frauds

Social engineering entails the deceptive manipulation of individuals to obtain confidential information or unauthorised access to parcels, often by posing as customers or delivery services. Such fraudulent activities pose significant risks of financial losses, damages, and liabilities for couriers and clientele.

• Safeguard tracking numbers by restricting access solely to authorised personnel within your organisation. Exercise caution when responding to emails, calls, or messages requesting tracking information.
• Implement constraints on your company's carrier accounts to mitigate the likelihood of unauthorised parties rerouting your shipments.
• Educate your staff to identify common tactics employed in social engineering scams and encourage them to promptly report any suspicious behaviour to a designated point of contact within the organisation.

Some UK residents have reported thefts occurring mere minutes after the delivery, indicating a well-coordinated operation by thieves. As couriers rush to deliver packages, they may inadvertently draw the attention of these thieves, who then follow them to targeted locations. By implementing these preventive measures, you can significantly reduce the chances of customers falling victim to parcel theft.

The impact of parcel fraud and theft extends beyond individuals as the recent rise in parcel thefts, people’s confidence in online shopping diminishes, leading to potential decreases in sales for retailers, especially jewellers and luxury goods retailers. Read our practical tips for protecting your packages, and, as ever, stay vigilant when sending and receiving jewellery or luxury goods.

Source: SecurityWise